News release

Kootenay Announces $2.5 Million Non-

Brokered Private Placement

/NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN

THE

UNITED STATES

./

VANCOUVER

,

Feb. 6, 2019

/CNW/ -

Kootenay Silver Inc. (TSXV: KTN) (the "Company" or

"Kootenay")

announces a non-brokered private placement of up to

$2,500,000

(the "Private

Placement") consisting of approximately 17,858,000 Units (the "Units") at a price of

$0.14

per Unit

(the "Placement Price").

Each Unit shall consist of one common share ("Common Share") and one transferable common

share purchase warrant ("Warrant"). Each Warrant entitles the holder to acquire one Common Share

at an exercise price of

$0.20

for a period of 60 months immediately following the closing date of the

Private Placement. A finder's fee of up to 6% shall be paid at the election of the Company in cash or

Common Shares, of the portion of the proceeds raised in the Private Placement through the efforts

of arm's length finders.

Net proceeds of the Private Placement will be used to fund the exploration of the Company's

Columba Silver Project in Chihuahua State,

Mexico

, other projects and for general working capital

purposes.

All securities to be issued pursuant to the Private Placement will be subject to a four month hold

period from the closing date under applicable securities laws in

Canada

and among other things,

receipt by Kootenay of all necessary regulatory approvals, including the TSX Venture Exchange.

The securities being offered under the Private Placement have not been, nor will they be registered

under the United States Securities Act of 1933, as amended, or state securities laws and may not

be offered or sold within

the United States

or to, or for the account or benefit of, U.S. persons

absent U.S. federal and state registration or an applicable exemption from the U.S. registration

requirements. This release does not constitute an offer for sale of securities in

the United States

.

About Kootenay Silver Inc.

Kootenay Silver Inc. is an exploration company actively engaged in the discovery and development

of mineral projects in the Sierra Madre Region of

Mexico

and in

British Columbia, Canada

.

Supported by one of the largest portfolios of silver assets in

Mexico

, Kootenay continues to provide

its shareholders with significant leverage to silver prices. The Company remains focused on the

expansion of its current silver resources, new discoveries and the near-term economic

development of two of its priority silver projects located in prolific mining districts in

Sonora

, State

and Chihuahua, State,

Mexico

, respectively.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in

policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this

release.

CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS:

The information in this news release has been prepared as at

February 5, 2019

. Certain

statements in this news release, referred to herein as "forward-looking statements", constitute

"forward-looking statements" under the provisions of Canadian provincial securities laws. These

statements can be identified by the use of words such as "expected", "may", "will" or similar terms.

Forward-looking statements are necessarily based upon a number of factors and assumptions that,

while considered reasonable by Kootenay as of the date of such statements, are inherently subject

to significant business, economic and competitive uncertainties and contingencies. Many factors,

known and unknown, could cause actual results to be materially different from those expressed or

implied by such forward-looking statements. Readers are cautioned not to place undue reliance on

these forward-looking statements, which speak only as of the date made. Except as otherwise

required by law, Kootenay expressly disclaims any obligation or undertaking to release publicly

any updates or revisions to any such statements to reflect any change in Kootenay's expectations

or any change in events, conditions or circumstances on which any such statement is based. More

particularly, this release contains statements concerning the anticipated Private Placement.

Accordingly, there is a risk that the Private Placement will not be completely sold, or the Private

Placement will be completed within the anticipated time or at all.

Cautionary Note to US Investors:

This news release may contain information about adjacent

properties on which we have no right to explore or mine. We advise U.S. investors that the SEC's

mining guidelines strictly prohibit information of this type in documents filed with the SEC. U.S.

investors are cautioned that mineral deposits on adjacent properties are not indicative of mineral

deposits on our properties. This news release may contain forward-looking statements including

but not limited to comments regarding the timing and content of upcoming work programs,

geological interpretations, receipt of property titles, potential mineral recovery processes, etc.

Forward-looking statements address future events and conditions and therefore involve inherent

risks and uncertainties. Actual results may differ materially from those currently anticipated in such

statements.

This press release uses the terms "Measured", "Indicated", and "Inferred" resources.

United States

investors are advised that while such terms are recognized and required by

Canadian regulations, the United States Securities and Exchange Commission does not recognize

them. "Inferred Mineral Resources" have a great amount of uncertainty as to their existence, and

as to their economic and legal feasibility. It cannot be assumed that all or any part of an Inferred

Mineral Resource will ever be upgraded to a higher category. Under Canadian rules, estimates of

Inferred Mineral Resources may not form the basis of feasibility or other economic studies.

United

States

investors are cautioned not to assume that all or any part of Measured or Indicated Mineral

Resources will ever be converted into Mineral Reserves.

United States

investors are also

cautioned not to assume that all or any part of a Mineral Resource is economically or legally

mineable.

SOURCE

Kootenay Silver Inc.

View original content to download multimedia:

http://www.newswire.ca/en/releases/archive/February2019/06/c6221.html

%SEDAR: 00016508E

For further information:

James McDonald, CEO and President at 403-880-6016; Ken Berry,

Chairman at 604-601-5652; 1-888-601-5650 or visit: www.kootenaysilver.com

CO: Kootenay Silver Inc.

CNW 00:10e 06-FEB-19